Carvana selects site for seventh auto reconditioning facility
An omnichannel platform for buying and selling used cars continues expanding its auction and delivery capacity.
Carvana Co. is developing its seventh auction and reconditioning "megasite," in the New Jersey market. The company has previously announced plans to develop its first megasite in Kansas City, second hub in Houston, third facility in Las Vegas, fourth in the Boston area, fifth in Atlanta and sixth in Indianapolis.
This will expand Carvana’s reconditioning and auction activities in the Northeast, along with its operations in these areas in the Midwest and Southwest.
This effort will bring Carvana’s inspection and reconditioning center (IRC) capabilities to its existing ADESA New Jersey wholesale auction location while maintaining digital and in-lane auction operations on site.
Carvana intends for the integrated facility to expand its overall production capacity and enhance its offerings for both retail and wholesale customers in the area.
Located in Manville, N.J., the site has served local wholesale auto auction customers for nearly 30 years and spans approximately 100 acres with existing infrastructure to support both Carvana IRC operations and ongoing ADESA wholesale auction services.
Carvana has already begun hiring new local employees and expects the integration to create approximately 200 new entry level and skilled jobs in Manville over time.
"By integrating Carvana reconditioning capabilities at ADESA New Jersey, we are using our existing infrastructure to drive new customer benefits while also increasing our total production capacity and growing more efficient as a company," said Brian Boyd, senior VP of inventory at Carvana. "This megasite facility will help drive faster delivery speeds for local car buyers, a more robust auction offering for local commercial customers, and more job opportunities for future team members in central New Jersey."
How Carvana’s e-commerce model works
All vehicles in Carvana’s national inventory come with a seven-day return policy as opposed to a traditional test drive. According to Carvana, this ensures customers have the right amount of time to determine if the vehicle fits their needs.
Customers can also sell their current vehicle to Carvana and receive an offer in as little as five minutes, without having to purchase a vehicle. To sell a vehicle, customers enter their vehicle identification number (VIN) or license plate number on Carvana.com, answer a few questions, and then Carvana can pick up the vehicle and pay them as soon as the next day.
The e-tailer offers same-and next-day delivery of vehicles. In addition, in select markets Carvana offers "car vending machines" which enable customers to select and purchase a vehicle from its site and schedule a time for pick up.
[READ MORE: Carvana expands ‘car vending machine’ format in California]
Upon their arrival at the tower, car buyers are greeted by a customer advocate and receive a commemorative, oversized Carvana coin to activate the automated vending process. Customers can watch their newly purchased vehicle descend through the brightly lit, glass vending structure.
Founded in 2012 and based in Phoenix, Carvana provides as-soon-as-next-day delivery to automotive shoppers in over 300 U.S. markets.
